Tax Strategy, CFO Insights & NIL Finance for Founders and Athletes

NIL income is self-employment income with no taxes withheld. That means college athletes could owe 25 to 40 percent of every NIL payment in federal, state, and self-employment taxes. This guide breaks down exactly how much NIL athletes pay in taxes with real examples and a simple savings rule to avoid surprises.

NIL income is self-employment income. That means college athletes earning from brand deals, collectives, appearances, and social media sponsorships could owe 25 to 40 percent in federal, state, and self-employment taxes. Here is a complete 2026 guide to how NIL deals are taxed, what you can deduct, and how to avoid the most costly mistakes.